Taxes Consolidation Act, 1997 (Number 39 of 1997)
823Deduction for income earned outside the State.
[FA94 s154; FA95 s170(1)]
(1) In this section—
[7]>
“qualifying day”, in relation to an office or employment of an individual, means a day which is—
(a) one of at least [4]>14 consecutive days<[4][4]>11 consecutive days<[4] on which the individual is absent from the State for the purposes of the performance of the duties of the office or employment or of those duties and the duties of other offices or employments of the individual outside the State and which (taken as a whole) are substantially devoted to the performance of such duties, and
(b) one on which the individual concerned is absent from the State at the end of the day,
but no day shall be counted more than once as a qualifying day;
<[7]
[7]>
“qualifying day”, in relation to an office or employment of an individual, means a day on or before 31 December 2003 which is one of at least 11 consecutive days throughout the whole of which the individual is absent from the State for the purposes of the performance of the duties of the office or employment or of those duties and the duties of other offices or employments of the individual outside the State and which (taken as a whole) are substantially devoted to the performance of such duties, but no day shall be counted more than once as a qualifying day;
<[7]
“relevant period”, in relation to a year of assessment, means a continuous period of 12 months—
(a) part only of which is comprised in the year of assessment, and
(b) no part of which is comprised in another relevant period;
[2]>
“the specified amount” means an amount determined by the formula—
D × E |
|
365 |
where—
D is the number of qualifying days in the year of assessment concerned, and
E is all the income, profits or gains from an office, employment or pension whether chargeable under Schedule D or E (including income from offices or employments the duties of which are performed in the State) of an individual in that year.
<[2]
[2]>
“the specified amount” in relation to an office or employment means an amount determined by the formula—
where—
D is the number of qualifying days in relation to the office or employment in the year of assessment concerned, and
E is all the income, profits or gains from any office, employment or pension whether chargeable under Schedule D or E (including income from offices or employments the duties of which are performed in the State) of an individual in that year after deducting any contribution or qualifying premium in respect of which there is provision for a deduction under section 774(7) or 787 but excluding—
(a) any expense to which section 118 applies,
(b) any amount treated as emoluments of an employment under section 121(2)(b)(ii) by virtue of a car being made available by reason of the employment,
(c) any sum treated for the purposes of section 112 as a perquisite of an office or employment by virtue of section 122,
(d) any payment to which section 123 applies,
(e) any sum deemed to be profits or gains arising or accruing from an office or employment by virtue of section 127(2), or
(f) any gain to which section 128 applies.
<[2]
(2)(a) Subject to paragraph (b), this section shall apply to—
(i) an office of director of a company which is within the charge to corporation tax, or would be within the charge to corporation tax if it were resident in the State, and which carries on a trade or profession,
(ii) an employment other than—
(I) an employment the emoluments of which are paid out of the revenue of the State, or
(II) an employment with any board, authority or other similar body established by or under statute.
[12]>
(b) This section shall not apply in any case where the income from an office or employment—
(i) is chargeable to tax in accordance with section 71(3),
(ii) is subject to section 73, or would be so subject if the employment were deemed to be property situated where the employment is exercised, or
(iii) is income to which section 822 applies.
<[12]
[12]>
(b) This section does not apply in any case where the income from an office or employment—
(i) is chargeable to tax in accordance with section 71(3), or
(ii) is income to which section 822 applies.
<[12]
[1]>
(2A) (a) In this subsection, “qualifying employment”, “qualifying individual” and “sea-going ship” have the same meanings, respectively, as in section 472B.
(b) Where in any period of at least [5]>14 consecutive days<[5][5]>11 consecutive days<[5] in which a qualifying individual is absent from the State for the purposes of the performance of the duties of a qualifying employment, the sea-going ship on which he or she, in that period, performs those duties—
(i) visits a port in the United Kingdom, and
(ii) also visits a port other than a port in the State or in the United Kingdom,
then subparagraph (ii) of subsection (2)(b) shall not apply to the income, profits or gains from the qualifying employment for such period.
<[1]
(3) Where for any year of assessment an individual resident in the State makes a claim in that behalf to and satisfies an authorised officer that—
(a) the duties of an office or employment to which this section applies of the individual are performed wholly or partly outside the State, and
(b) either—
(i) the number of days in that year which are qualifying days in relation to the office or employment (together with any days which are qualifying days in relation to any other such office or employment of the individual), or
(ii) the number of such days referred to in subparagraph (i) in a relevant period in relation to that year,
amounts to at least 90 days [9]>or, in the case where subparagraph (i) applies and the year of assessment concerned is the year of assessment 2001, 67 days<[9],
there shall be deducted from the income, profits or gains from the office or employment to be assessed under Schedule D or E, as may be appropriate, an amount equal to the specified amount [3]>in relation to that office or employment or the amount of the income, profits or gains [6]>whichever is the lesser<[6].<[3][6]>whichever is the lesser; but that amount, or the aggregate of those amounts where there is more than one such office or employment, shall not exceed [11]>[11]>€31,750<[11].<[6][10]>£25,000<[10][10]>£18,500<[10]<[11]
(4) Notwithstanding anything in the Acts, the income, profits or gains from an office or employment shall for the purposes of this section be deemed not to include any amounts paid in respect of expenses incurred wholly, exclusively and necessarily in the performance of the duties of the office or employment.
[2]
Substituted by FA99 s21(1)(a). Applies as respects the year of assessment 1999-2000 and subsequent years of assessment.
[3]
Inserted by FA99 s21(1)(b). Applies as respects the year of assessment 1998-99 to the extent that the income, profits or gains to be included in computing the specified amount accrues to an individual on or after the 10th day of March, 1999.
[6]
Substituted by FA00 s47(1)(c) applies (i) as respects the year of assessment 2000-2001 and subsequent years of assessment, and (ii) as respect the year of assessment 1999-2000, as if the reference to "that amount, or the aggregate of those amounts where there is more than one such office or employment" were a reference to "such portion of that amount, or such portion of the aggregate of those amounts where there is more than one such office or employment, which arises by virtue of income, profits or gains accuring or paid on or after 29 February 2000".